Does IMF program help Iraq?

[Lux]

Interesting article that should spark debate for months and years to come. Please post your thoughts.
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The IMF and the Future of Iraq

Zaid Al-Ali


(Zaid Al-Ali practices international commercial arbitration law in Paris and works with Jubilee Iraq, an organization advocating debt relief for Iraq. He is also the editor of www.iraqieconomy.org.)

On November 21, 2004, the 19 industrialized nations that make up the so-called Paris Club issued a decision that, in effect, traces the outline of Iraq's economic future. The decision concerns a portion of Iraq's $120 billion sovereign debt -- a staggering amount that all concerned parties recognize is unsustainable. In their proposal to write off some of the debt, the Paris Club members took advantage of the opportunity to impose conditions that could bind the successor government in Baghdad to policies of free-market fundamentalism...

http://www.merip.org/mero/mero120704.html

[Dinaress]

Do not be dismayed, no country or entity can hold debt hostage over the world's largest proven oil reserve holders. ;)
Next year this fact will be brought to light, and the world will have to take notice.

[mike55]

I believe that the world learned a lesson from the aftermath of WWI when it came to Germany. The victors, England, France, etc. held Germany to such an intolerable reparation plan that it kept Germany virtually bankrupt. The victors felt this would help keep Germany in check and make them impotent to build antoher war machine. As we all know this backfired. Germany became so frustrated and angered at the terms of the deal that they just said ...screw them. They bought into an ideology of Nationalism that was preached by a few and the movement grew into a juggernaut that culminated in the election and ultimate coupe de tat that plunged the world into global war. The western world does not want to see Iraq held to such a deal that would instigate the population to seek other help..i.e. Iran, Syria, Saudi Arabia, China etc. to give them relief or worse....have a new government that is really trying to believe the west and set up a democracy that is friendly to the west pressured to a point that they say ....screw it, we'll just refuse to pay or cooperate and stop the flow of oil and join the other muslim nations in a war against the infidels. So.... bottom line in my opinion is that we (the western nations) are going to make sure that Iraq is successful and restored to the prosperous nation that they truly can be. It is in our best interests to make them prosperous again, and soon.

Just my opion on the reason that no matter what we think will keep the dinar low....it can be valued at whatever the world and iraq agree to. We don't want them to debut as a third world level...that would be catasrophic for all involved. Iraqi's would put down the plow share and pick up the sword as we would prove the terrorist invaders of Iraq correct.
thank you for listening......Mike

[Geoff]

Mr. Al-Ali knows his history, and has written an excellent piece. People would be well-served to read up on the IMF and World Bank, and the role they have played in destroying virtually everything they touch. This has been a concern of mine from day one. As much as many of us would like to think otherwise, the IMF and World Bank are running this show. Given their history, there is good reason to be concerned about Iraq's future, as Mr. Al-Ali clearly points out. I wouldn't take his message lightly.

[dorrel]

Mike55 and Geoff:

Great posts, I agree 100%. Is there anything Iraq can do now, about the agreement entered into between the IMF and World bank? In my opinion the IMF and WTO has been of very little worth other than to themselves. Some of there principles have good merit but the leaders are not following them and the power they wield is unchecked.

Mr. Al-Ali knows his history, and has written an excellent piece. People would be well-served to read up on the IMF and World Bank, and the role they have played in destroying virtually everything they touch. This has been a concern of mine from day one. As much as many of us would like to think otherwise, the IMF and World Bank are running this show. Given their history, there is good reason to be concerned about Iraq's future, as Mr. Al-Ali clearly points out. I wouldn't take his message lightly.